Bennato_Bokhari_Mariuzzo_2016_CCP.pdf (595.92 kB)
Growth and returns to new products and pack varieties: the case of UK pharmaceuticals
preprint
posted on 2017-01-10, 09:52 authored by Anna Rita BennatoAnna Rita Bennato, Farasat A.S. Bokhari, Franco MariuzzoWe use quarterly sales data from the UK pharmaceuticals market between
2003 and 2013 and estimate the impact of new introductions, i.e., new products
and pack varieties within an anatomical therapy class on business unit growth.
Using a dynamic lag adjustment growth model that accounts for endogeneity of
new introductions, we find that a new product contributes to 18 per cent growth
of the business unit while a new pack variety leads to 7 per cent growth for the
business unit in the long run. Further, we find that there is significant variation
in growth by size of firm and that the marginal effect of additional products on
growth is larger for smaller business units. However, the marginal effect of pack
varieties does not differ by firm size.
Funding
The authors wish to acknowledge the contribution of the ESRC who supported their research through Centre for Competition Policy funding (ref: RES-578-28-0002).
History
School
- Business and Economics
Department
- Business
Published in
14th Annual INTERNATIONAL INDUSTRIAL ORGANIZATION CONFERENCECitation
BENNATO, A., BOKHARI, F. and MARIUZZO, F., 2016. Growth and returns to new products and pack varieties: the case of UK pharmaceuticals. (Centre for Competition Policy working paper ; 16-1.) Norwich: UEA Centre for Competition Policy.Publisher
UEA Centre for Competition PolicyVersion
- VoR (Version of Record)
Publisher statement
This work is made available according to the conditions of the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International (CC BY-NC-ND 4.0) licence. Full details of this licence are available at: https://creativecommons.org/licenses/by-nc-nd/4.0/Publication date
2016ISSN
1745-9648Publisher version
Book series
Centre for Competition Policy working paper;16-1Language
- en